Delays in Environmental Approvals Could Stall Savannah Goldfields’ Production Restart
Savannah Goldfields is advancing plans to resume gold production at its Georgetown processing plant and Big Reef mine, capitalizing on gold prices above A$5000 per ounce. The company also unveiled new exploration targets and key executive appointments to drive growth.
- Mining restart planned at Big Reef in 2025, followed by Agate Creek in 2026
- 13,000 tonnes of stockpiled ore being transported to Georgetown processing plant
- Five new exploration targets defined with drilling program commencing soon
- Environmental approvals sought for tailings storage and processing expansions
- New CEO, operations manager, and exploration manager appointed
Restarting Gold Production in a Bull Market
Savannah Goldfields Limited is making significant strides toward restarting gold production at its Georgetown gold processing plant (GGPP) and Big Reef mine, aiming to leverage the current gold price environment, which has surged beyond A$5000 per ounce. The company has begun transporting 13,000 tonnes of existing stockpiled ore to the processing plant, ahead of schedule, with mining operations at Big Reef set to commence imminently. This phased approach is designed to rapidly bring production back online and capture value from the strong market.
Following Big Reef, mining and processing activities at the Agate Creek project are planned to start in the second quarter of 2026, further extending Savannah’s production runway. Meanwhile, the company is actively optimizing mining sequences at both sites to maximize financial returns over the next two years.
Exploration and Resource Growth Initiatives
Beyond immediate production plans, Savannah is expanding its exploration footprint with the identification of five new gold targets; Red Dam, Electric Light, Big Reef, Jubilee Plunger, and Phily’s; across its Georgetown project portfolio. An 80-hole reverse circulation drilling program totaling approximately 2,355 meters is scheduled to commence shortly, aiming to validate these targets and potentially increase the company’s mineral resources, which currently stand at around 590,000 ounces.
The company has also engaged a seasoned exploration manager, Pat Smith, to spearhead this effort, signaling a strategic focus on resource growth alongside production ramp-up. Early-stage geochemical sampling and mapping have been completed, with assay results pending to guide the upcoming drilling campaign.
Environmental and Operational Readiness
Savannah is advancing critical environmental approvals, including applications for expanding the Georgetown tailings storage facility and authorizing processing of Big Reef material at the GGPP. These regulatory steps are essential to support the planned production restart and future expansions. The company has also submitted a revised Progressive Closure and Rehabilitation Plan, underscoring its commitment to responsible mining practices.
Operationally, the GGPP remains under care and maintenance, with preventative and restorative maintenance programs underway to ensure a smooth restart. The appointment of Bob Hayes as operations manager, effective July 1, brings experienced leadership to oversee the recommencement of mining and processing activities.
Corporate Developments and Capital Raising
On the corporate front, Savannah appointed Brad Sampson as CEO in April 2025. Sampson brings over 30 years of international mining experience, including leadership roles at Newcrest Mining and other ASX-listed companies. The company also completed a capital raising program during the quarter, issuing 500 million shares and 4.5 million convertible notes, strengthening its balance sheet to support operational and exploration initiatives.
Looking ahead, Savannah is positioning the Georgetown processing plant as a regional hub, uniquely situated within a 400-kilometer radius of numerous stranded gold deposits. Discussions with third parties interested in toll treating their ore at Georgetown suggest potential for additional revenue streams and strategic partnerships.
Bottom Line?
Savannah Goldfields is poised to capitalize on high gold prices with a carefully staged production restart and exploration push, but timely environmental approvals and operational execution will be critical to sustaining momentum.
Questions in the middle?
- Will environmental approvals for tailings storage and processing expansions be granted on schedule?
- How will assay results from the new exploration targets impact resource estimates and production plans?
- Can Savannah successfully attract third-party toll treatment contracts to enhance plant utilisation?